US lean hogs weaken on CME

Published May 24, 2024

Tridge summary

CME live and feeder cattle futures rose due to anticipated cash market strength, while lean hog futures experienced pressure from data showing a increase in pork processing. Traders are analyzing the latest government data on hog production, which indicates a rise in hog slaughter numbers. Meat processors butchered around 484,000 hogs on Wednesday, a slight increase from the previous week. In the cattle markets, cash market prices are expected to remain firm as packer margins improve and there is prompt buying activity. However, reduced plant schedules due to the Memorial Day holiday weekend are expected to limit buying demand. CME June hog futures ended slightly down, while June live cattle and August feeder cattle futures closed higher.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Chicago Mercantile Exchange (CME) live and feeder cattle futures rallied on Wednesday amid expectations of strength in the cash markets, while lean hog futures faced continued pressure from data showing that US packers are processing a glut of pork, Reuters reported, citing analysts. Traders were still crunching through the latest government data on hog production, which shows pork processors have slaughtered about 50.6 million hogs so far this year, up from 50.3 million last year. On Wednesday, meat processors butchered about 484,000 hogs - 4,000 more animals than a week ago and up from 469,758 a year ago, according to US Department of Agriculture data. In the cattle markets, traders said prices in the cash market are expected to stay firm as packer margins finally fall back into the black and prompt buying activity. But reduced plant schedules ahead of the Memorial Day holiday weekend are ...
Source: Thepigsite
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